Make $377,000 trading Apple in one day

Posted On 30 Aug 2013
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A Berkeley professor finds out just how much a certain type of high frequency trading costs the average investor.

According to his study, in one day (May 9), playing one stock (Apple (AAPL)), Hendershott walked away with almost $377,000 in theoretical profits by picking off quotes on various exchanges that were fractions of a second out of date. Extrapolate that number to reflect the thousands of stocks trading electronically in the U.S., and it’s clear that high-frequency traders are making billions of dollars a year on a simple quirk in the electronic stock market.

Read the source article at Fortune Finance

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